The Treasury Department has successfully blocked $175 million in federal payments linked to deceased recipients for fiscal year 2026. This marks a significant increase from the $99 million identified previously, as the Trump administration enhanced screening processes to prevent improper payments.

Senator John Kennedy from Louisiana commended Treasury Secretary Scott Bessent for preventing fraudulent activities and stopping taxpayer money from being sent to deceased individuals. Sen. Kennedy emphasized the necessity of accessible death records to avoid such payments, referencing his efforts to pass legislation for better access to Social Security death records.

I applaud Secretary Bessent for slamming the door on these fraudsters before they can pick taxpayers’ pockets.

Kennedy’s advocacy resulted in the authorization of the Social Security Administration to share its Death Master File with the Treasury Department. This initiative was further reinforced by President Trump’s signing of the Ending Improper Payments to Deceased People Act into law, ensuring permanent access to these records.

President Trump’s administration is focused on eliminating fraud, waste, and abuse across federal operations. The effort to stop payments to deceased individuals is part of this wider initiative. Trump’s administration strives to set high standards in preventing fraud, as stated by White House spokesperson Taylor Rogers.

In fiscal year 2026, the Treasury screened over 1.1 billion payments totaling approximately $3.7 trillion. About 13,500 payments, worth $175 million that would have gone to deceased individuals, were identified and returned.

Treasury Secretary Bessent pointed out the transformation in safeguarding federal funds through improved data usage, stronger controls, and advanced technology. These measures aim to stop fraudulent activities before funds are released.

With the implementation of new safeguards verifying more than $3.7 trillion in federal payments, the Treasury’s ‘Do Not Pay’ program expanded dramatically. The program now covers more than 99% of federal programs, a significant increase from 4% coverage at the end of FY2025.

This expansion supports a March 2025 executive order from President Trump that mandates improved fraud prevention measures in federal payments.

In FY2026, Treasury screened over 2.3 billion records using ‘Do Not Pay’ data sources, a substantial rise from the previous year. New payment verification efforts and enhanced screenings for state payments have also been introduced.

The Treasury has, furthermore, tested new safeguards that verify bank account ownership and check Taxpayer Identification Numbers related to federal payments. These measures started operating in full on September 30, allowing Treasury to flag payments that do not meet verification standards.

Building on its July announcement, the Treasury had screened over 885 million payments worth $2.77 trillion and flagged 4,900 payments tied to deceased recipients.